ZTE and Huawei under investigation

With multiple investigations already underway in the U.S. and Europe targeting illegal sales to Iran by Chinese telecom giants ZTE and Huawei, reports surfaced in Friday (July 13) that the FBI is now probing whether ZTE sold U.S. computer equipment to Iran in violation of U.S. trade sanctions.

Citing a report on the Web site Smoking Gun, Reuters reported that a list of ZTE gear that was part of a $120 million contract included hardware and software made by Microsoft, HP, Oracle, Cisco, and Dell. The U.S. companies are not allowed to sell gear to Iran under U.S. export restrictions.

A Justice Department spokesman declined Friday to comment on the probe. Calls to the Commerce Department’s Bureau of Industry and Security, which enforces U.S. export controls, were not returned. The agency’s Web site lists several enforcement actions related to illegal technology exports to both China and Iran.